Golub Capital BDC (NASDAQ:GBDC) Upgraded to Buy at Zacks Investment Research

Golub Capital BDC (NASDAQ:GBDC) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued to investors on Wednesday, Zacks.com reports. The firm presently has a $21.00 price target on the investment management company’s stock. Zacks Investment Research‘s price objective suggests a potential upside of 14.32% from the company’s current price.

According to Zacks, “Golub Capital BDC Inc. is a business development company that principally invests in senior secured, unitranche, mezzanine and second lien loans of middle-market companies that are, in most cases, sponsored by private equity investors. The Company’s investment activities are managed by its investment adviser, GC Advisors LLC, an affiliate of Golub Capital. “

A number of other brokerages have also weighed in on GBDC. Keefe, Bruyette & Woods raised shares of Golub Capital BDC from a “market perform” rating to an “outperform” rating in a research note on Monday, November 18th. TheStreet lowered shares of Golub Capital BDC from a “b-” rating to a “c” rating in a research note on Wednesday, November 27th. Finally, BidaskClub lowered shares of Golub Capital BDC from a “hold” rating to a “sell” rating in a research note on Wednesday, January 8th. One equities research analyst has rated the stock with a sell rating and three have given a buy rating to the company’s stock. Golub Capital BDC currently has a consensus rating of “Buy” and an average price target of $21.50.

Golub Capital BDC stock traded up $0.03 during midday trading on Wednesday, reaching $18.37. 768,200 shares of the stock traded hands, compared to its average volume of 577,050. The company has a current ratio of 1.91, a quick ratio of 1.91 and a debt-to-equity ratio of 0.95. The firm has a fifty day moving average price of $18.26 and a two-hundred day moving average price of $18.19. The firm has a market cap of $2.43 billion, a price-to-earnings ratio of 14.46, a PEG ratio of 7.28 and a beta of 0.54. Golub Capital BDC has a fifty-two week low of $17.00 and a fifty-two week high of $19.14.

Golub Capital BDC (NASDAQ:GBDC) last posted its earnings results on Monday, November 25th. The investment management company reported $0.33 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.32 by $0.01. The firm had revenue of $48.98 million during the quarter, compared to analyst estimates of $53.23 million. Golub Capital BDC had a negative net margin of 10.78% and a positive return on equity of 6.51%. During the same period in the previous year, the business posted $0.34 EPS. Analysts anticipate that Golub Capital BDC will post 1.26 earnings per share for the current year.

In related news, major shareholder Ohio Strs purchased 403,046 shares of Golub Capital BDC stock in a transaction dated Tuesday, January 7th. The stock was bought at an average cost of $17.60 per share, with a total value of $7,093,609.60. Following the purchase, the insider now owns 15,870,054 shares in the company, valued at approximately $279,312,950.40. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Corporate insiders own 4.80% of the company’s stock.

Several large investors have recently modified their holdings of the company. Parallel Advisors LLC lifted its stake in Golub Capital BDC by 29.4% during the third quarter. Parallel Advisors LLC now owns 2,959 shares of the investment management company’s stock valued at $56,000 after purchasing an additional 673 shares during the last quarter. Stifel Financial Corp lifted its stake in Golub Capital BDC by 4.4% during the third quarter. Stifel Financial Corp now owns 29,970 shares of the investment management company’s stock valued at $565,000 after purchasing an additional 1,269 shares during the last quarter. M Holdings Securities Inc. lifted its stake in Golub Capital BDC by 11.4% during the second quarter. M Holdings Securities Inc. now owns 15,012 shares of the investment management company’s stock valued at $267,000 after purchasing an additional 1,531 shares during the last quarter. Moors & Cabot Inc. lifted its stake in Golub Capital BDC by 5.7% during the third quarter. Moors & Cabot Inc. now owns 30,139 shares of the investment management company’s stock valued at $569,000 after purchasing an additional 1,625 shares during the last quarter. Finally, LPL Financial LLC lifted its stake in Golub Capital BDC by 13.6% during the second quarter. LPL Financial LLC now owns 17,343 shares of the investment management company’s stock valued at $309,000 after purchasing an additional 2,079 shares during the last quarter. 32.00% of the stock is owned by institutional investors.

Golub Capital BDC Company Profile

Golub Capital BDC, Inc is a business development company and operates as an externally managed closed-end non-diversified management investment company. It invests in debt and minority equity investments in middle-market companies that are, in most cases, sponsored by private equity investors. The company seeks to invest in the United States.

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